Improving U.S. Housing Finance through Reform of Fannie Mae and Freddie Mac

Brief

Improving U.S. Housing Finance through Reform of Fannie Mae and Freddie Mac

Assessing the Options

Abstract

For several decades, the Government-Sponsored Enterprises (GSEs), Fannie Mae and Freddie Mac, were the largest players in an American housing finance system that provided effective mortgage financing for many millions of Americans. Since early 2008, the firms' near-insolvency has called their future into question. This paper lays out criteria for evaluating the different proposals for reform of the two firms. We make no recommendations among the proposals, but we do attempt to assess the major advantages and disadvantages of their respective approaches.

To reuse content from Urban Institute, visit copyright.com, search for the publications, choose from a list of licenses, and complete the transaction.

LATEST IN Economic Growth and Productivity

To reuse content from Urban Institute, visit copyright.com, search for the publications, choose from a list of licenses, and complete the transaction.